Mercer International Inc. (NASDAQ:MERC) Given Consensus Recommendation of “Strong Sell” by Analysts

Shares of Mercer International Inc. (NASDAQ:MERC) (TSE:MRI.U) have been assigned an average recommendation of “Strong Sell” from the six analysts that are presently covering the firm, Marketbeat Ratings reports. Four research analysts have rated the stock with a sell recommendation and two have given a hold recommendation to the company. The average 1-year target price among brokers that have issued a report on the stock in the last year is $1.85.

Several research firms have recently commented on MERC. TD lowered their target price on shares of Mercer International from $1.00 to $0.50 and set a “sell” rating on the stock in a report on Monday, May 11th. Weiss Ratings reissued a “sell (e+)” rating on shares of Mercer International in a report on Friday, March 27th. TD Cowen downgraded shares of Mercer International from a “hold” rating to a “sell” rating and boosted their target price for the stock from $2.00 to $2.25 in a report on Wednesday, January 21st. Royal Bank Of Canada lowered their target price on shares of Mercer International from $1.25 to $1.00 and set a “sector perform” rating on the stock in a report on Monday, May 11th. Finally, TD Securities downgraded shares of Mercer International from a “hold” rating to a “strong sell” rating in a report on Wednesday, February 18th.

Mercer International Price Performance

MERC stock opened at $0.94 on Friday. Mercer International has a one year low of $0.75 and a one year high of $4.47. The company’s fifty day moving average price is $1.25 and its 200-day moving average price is $1.74. The company has a debt-to-equity ratio of 23.58, a quick ratio of 1.22 and a current ratio of 2.17. The company has a market capitalization of $62.96 million, a PE ratio of -0.12 and a beta of 0.53.

Mercer International (NASDAQ:MERC) (TSE:MRI.U) last released its earnings results on Thursday, May 7th. The basic materials company reported ($0.78) EPS for the quarter, missing the consensus estimate of ($0.74) by ($0.04). Mercer International had a negative return on equity of 136.20% and a negative net margin of 28.51%.The company had revenue of $489.30 million during the quarter, compared to analysts’ expectations of $493.00 million. On average, equities analysts anticipate that Mercer International will post -2.21 EPS for the current fiscal year.

Insider Transactions at Mercer International

In other Mercer International news, major shareholder Peter R. Kellogg purchased 200,000 shares of the firm’s stock in a transaction that occurred on Thursday, May 14th. The shares were bought at an average price of $0.88 per share, with a total value of $176,000.00. Following the completion of the purchase, the insider directly owned 1,257,000 shares in the company, valued at $1,106,160. This trade represents a 18.92% increase in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. Insiders have acquired a total of 301,000 shares of company stock worth $263,900 over the last quarter. 1.00% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Mercer International

A number of hedge funds have recently bought and sold shares of the business. Iat Reinsurance Co. LTD. raised its stake in Mercer International by 1.3% during the third quarter. Iat Reinsurance Co. LTD. now owns 16,700,000 shares of the basic materials company’s stock valued at $48,096,000 after purchasing an additional 220,000 shares in the last quarter. Millennium Management LLC raised its stake in Mercer International by 16.1% during the third quarter. Millennium Management LLC now owns 994,974 shares of the basic materials company’s stock valued at $2,866,000 after purchasing an additional 137,906 shares in the last quarter. Geode Capital Management LLC raised its stake in Mercer International by 2.7% during the fourth quarter. Geode Capital Management LLC now owns 561,001 shares of the basic materials company’s stock valued at $1,111,000 after purchasing an additional 14,603 shares in the last quarter. Gabelli Funds LLC purchased a new stake in Mercer International during the second quarter valued at $1,804,000. Finally, Jump Financial LLC raised its stake in Mercer International by 340.6% during the second quarter. Jump Financial LLC now owns 276,837 shares of the basic materials company’s stock valued at $969,000 after purchasing an additional 214,008 shares in the last quarter. Hedge funds and other institutional investors own 85.79% of the company’s stock.

About Mercer International

Mercer International Inc is a publicly traded pulp producer headquartered in Vancouver, British Columbia. Listed on the NASDAQ under the symbol MERC, the company specializes in the manufacture of Northern Bleached Softwood Kraft (NBSK) pulp and dissolving pulp for use in tissue, specialty paper and textile applications.

Mercer’s core business activities include the operation of integrated pulp mills in North America and Europe. Its production portfolio encompasses NBSK pulp, renowned for its strength and versatility, and dissolving pulp, which serves as a key raw material in the manufacture of viscose, cellulose acetate and other specialty products.

The company’s facilities are located in British Columbia and the U.S.